Companies Bill 2011 under finalization and will enable shareholders to file ‘class action suits’ in case of fraud

Status of the Companies Bill

The Minister of State in the Ministry of Corporate Affairs today informed the Rajya Sabha that the Companies Bill 2011 is under finalization based on recommendations of the Parliamentary Standing Committee on Finance and inputs received from all relevant interest groups.

In reply to a written question the Companies Bill adequately empowers the shareholders associations or group of shareholders to enable them to take legal action in case of fraud through ‘class action suits’ the Minister said yes.